PayPal is expanding its presence at bricks-and-mortar locations

The online payment provider, which has long handled electronic payments for its auction website parent, announced on Tuesday that it will partner with NCR (NYSE:NCR) to process transactions at restaurants. The new deal is part of an ongoing campaign to bring PayPal into the world of physical retail transactions, Dow Jones notes.

Under the deal with NCR, which makes cash registers and store checkout equipment, PayPal users can place restaurant orders and take advantage of promotions and discounts through mobile apps. Financial terms of the deal weren’t disclosed.

By partnering with Discover, PayPal is also competing with major credit card providers like American Express (NYSE:AXP), Visa (NYSE:V) and MasterCard (NYSE:MA) in physical point-of-sale transactions. Other companies, including Google (NASDAQ:GOOG) and Apple (NASDAQ:AAPL), are experimenting with electronic wallet options.

Shares of eBay slipped more than 1% in Tuesday afternoon trading, while NCR moved up modestly.